Dogwood Company Earned Revenues of $19,000 and Incurred Expenses of $7,000.The

question 93

Multiple Choice

Dogwood Company earned revenues of $19,000 and incurred expenses of $7,000.The owner made withdrawals of $3,500.What is the balance in the Income Summary account prior to closing net income or loss to the Owner,Capital account?

• A)debit balance of $12,000
• B)debit balance of $8,500
• C)credit balance of $12,000
• D)credit balance of $19,000

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Definitions:

Poor Credit Rating

A low assessment of an individual's or entity's creditworthiness, indicating a high risk to lenders or creditors.

Reasoning for Bad News

The process of explaining and providing justification for decisions or notifications that are unfavorable or disappointing.

Company Policies

Set guidelines and rules that dictate the internal operations, culture, and acceptable behaviors within a company.

Returning to Stock

The process of reintegrating unsold or returned products back into a company's inventory or supply chain.